Toko Tukai

Basic Information

Stock Code
6617
Industry
Electrical Equipment
Category Detail
Industrial Equipment & Heavy Electrical Apparatus
Prefecture
Tokyo
Establishment Year
October 2012
Listing Year
October 2012
Official Website
https://www.tktk.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
Fuji Electric, Yaskawa Electric, Sanyo Denki, Daihen, Togami Electric Mfg., Kawaden, Nitto Kogyo, Masaei Denki Seisakusho, Toyo Denki, Teito Kogyo, Jecos

Overview

Toko Tukai is an electrical equipment manufacturer established in 2012 with its head office in Koto-ku, Tokyo, and is a TEPCO-affiliated company holding the top domestic market share in disconnectors and quick chargers.

Current Situation

For the fiscal year ended March 2023, Toko Tukai recorded consolidated net sales of 97.7 billion yen, ordinary income of 4.7 billion yen, and net income of 2.9 billion yen, maintaining a solid financial base. Its main business is the manufacture of substation, transformation, and distribution equipment, boasting the top domestic share in the disconnector and quick charger markets. Leveraging its strong ties with the TEPCO Group, it focuses on technology development and product improvement, and has also established production facilities for smart meter-related equipment. Since the 2020s, its overseas business has been expanding, with related companies established in Vietnam and South Korea. It is also emphasizing the development of energy solutions for a sustainable society, with mid- to long-term strategic goals centered on expanding digital grid and EV charging infrastructure businesses. Furthermore, it is advancing ISO certification acquisition and initiatives for environmentally friendly products, while diversifying its business to mitigate risks. Following the 2021 improper inspection issue, it has strengthened its quality management system and is working to restore trust.

Trivia

Interesting Facts

  • Holds top domestic share in disconnectors and quick chargers.
  • Takayoke Seisakusho is a long-established company founded in 1918 with over 100 years of history.
  • Toko Denki's fluorescent lamp manufacturing business dates back to 1948.
  • Established in 2014 through the absorption and merger of Takayoke Seisakusho and Toko Denki by Toko Tukai HD.
  • Smart meter production factory completed and operational in Hasuda, Saitama Prefecture.
  • Multiple overseas related companies in South Korea, China, and Vietnam.
  • Maximum specification for disconnectors reaches world-largest capacity of 550kV.
  • Optical application inspection devices backed by advanced technologies including U.S. patents.
  • Implemented quality management system enhancements following the 2021 improper inspection issue.
  • Major shareholder TEPCO Power Grid holds over 35%.
  • Wide range of businesses supported by many group subsidiaries.
  • Benefits from stable order base as a TEPCO Group company.
  • Quick chargers for electric vehicles hold one of the largest shares domestically.
  • Diversified company also handling semiconductor and LCD-related manufacturing equipment.
  • Former Takayoke Seisakusho owns a large transformer factory in Omiya City.

Hidden Connections

  • Positioned as an important power equipment supplier within the Tokyo Electric Power Group.
  • Technical collaborations with foreign manufacturers in semiconductor inspection device technology.
  • Production system closely linked to Japan's national smart meter rollout plan.
  • Business expansion tied to growth in domestic EV charging infrastructure market.
  • Strengthened metering business through collaboration with Toko Toshiba Meter Systems.
  • Integrated system from electrical construction to manufacturing and sales via related companies.
  • Maintains niche leadership while competing with Japan's major electrical equipment manufacturers.
  • Real estate leasing business serves as a key stable revenue source supporting core operations.

Future Outlook

Growth Drivers

  • Increased demand for transmission and distribution equipment due to renewable energy adoption
  • Demand for expansion of quick charging infrastructure with EV proliferation
  • Nationwide rollout and replacement demand for smart meters
  • Market expansion for digital grid-related supervisory control technologies
  • Power-related infrastructure development in Asian overseas regions
  • Growing needs for high-efficiency and environmentally friendly products
  • Demand for advanced and diversified industrial inspection equipment
  • Social promotion of green power and decarbonization technologies
  • Stabilization of demand for electrical equipment construction and maintenance
  • Spread of energy-saving systems utilizing IoT and AI technologies
  • New business opportunities from domestic power deregulation
  • Expectations for enhanced corporate value through ESG investment growth

Strategic Goals

  • Maintain and expand share to 50% in domestic disconnector and quick charger markets
  • Increase overseas sales ratio to over 20%
  • Strengthen smart meter and EMS-related product businesses
  • Establish production processes aiming for zero environmental impact
  • Provide energy solutions for a sustainable society
  • Breakthrough 10 billion yen in sales for digital grid business
  • Further sophistication of quality management system and trust building
  • Annual R&D investment of 5 billion yen in new businesses and products
  • Strengthen talent acquisition and development through diverse workstyle reforms
  • Achieve 100% employee safety and health standards

Business Segments

Power Infrastructure Equipment

Overview
Provides high-performance substation, transformation, distribution equipment, and supervisory control systems for power infrastructure both domestically and internationally.
Competitiveness
Top domestic share products and TEPCO Group customer base
Customers
  • Electric power companies
  • Local governments
  • Major electrical manufacturers
  • Construction companies
  • Plant operators
  • Telecommunications companies
  • Trading companies
  • Public facility operators
  • Factory and industrial equipment managers
Products
  • Disconnectors
  • Transformers
  • Gas-insulated switchgear
  • Distribution automatic switchgear
  • Smart meters
  • Supervisory control systems
  • Power line communication equipment
  • Protective measurement devices

Metering Business

Overview
Handles manufacturing and sales of metering-related products and contracting for invalidation replacement work.
Competitiveness
High reliability based on long track record
Customers
  • TEPCO Power Grid
  • Other regional power companies
  • Measurement instrument sales agents
  • Construction companies
  • Inspection companies
Products
  • Instrument invalidation replacement work
  • Instrument transformers
  • Integrating watt-hour meters
  • Instrument voltage transformers
  • Molded products

Energy Solutions Business

Overview
Provides products and services in new energy fields such as smart grids and EV charging infrastructure.
Competitiveness
Technology development capabilities backed by TEPCO Group capital
Customers
  • EV charging service providers
  • Local governments
  • Power retailers
  • Commercial facilities
  • Building management companies
  • Home builders
Products
  • Quick chargers
  • Power conditioners (V2H)
  • EMS software
  • Smart outlets
  • BEMS systems

Optical Application Inspection Equipment Business

Overview
Develops and sells high-precision inspection devices and embedded software.
Competitiveness
U.S.-patented inspection technology and IT integration capabilities
Customers
  • Semiconductor manufacturers
  • LCD panel manufacturers
  • Inspection equipment specialized trading companies
  • Substrate manufacturers
  • Electronic component manufacturers
Products
  • 3D inspection devices
  • Photomask defect inspection devices
  • Optical inspection devices
  • Thin client systems
  • Embedded software

Equipment Construction and Maintenance

Overview
Provides electrical and air conditioning equipment construction and maintenance services on an integrated basis.
Competitiveness
Construction management system through group collaboration
Customers
  • Electric power companies
  • Building management companies
  • Telecommunications providers
  • Factory managers
  • Public facilities
Products
  • Electrical equipment construction
  • Air conditioning equipment construction
  • Maintenance and inspection services
  • Instrument invalidation replacement work
  • Worker dispatch services

Electronic Components and Equipment Sales

Overview
Business involving sales, import, and export of a wide range of industrial electrical equipment domestically and internationally.
Competitiveness
Trading company functions and overseas network
Customers
  • Manufacturers
  • Sales agents
  • Factories
  • Overseas markets
  • Importers and exporters
Products
  • Industrial electrical equipment
  • Molded instrument transformers
  • Measuring instruments
  • Watt-hour meters
  • Inspection equipment parts

Real Estate Leasing Business

Overview
Handles leasing and management operations of owned real estate.
Competitiveness
Asset utilization as a stable revenue source
Customers
  • Tenant companies
  • Related group companies
  • Local companies
Products
  • Rental buildings
  • Office spaces

Competitive Advantage

Strengths

  • Top domestic share in disconnectors and quick chargers
  • Strong customer base from the Tokyo Electric Power Group
  • Diverse product lineup and diversified businesses
  • Competitive edge through technology development and patents
  • Sales network across Japan and in Asia
  • Long-term track record and reliability in power-related fields
  • Efforts to improve robust quality management system
  • Production system for smart meter business
  • Comprehensive capabilities in electrical equipment construction and repair
  • International expansion through overseas subsidiaries
  • Technology fusion in embedded software and inspection equipment
  • Stable financial base backed by TEPCO Group capital
  • Track record in developing environmentally friendly products
  • Accumulated technologies compatible with digital grids
  • Enhanced trust through various certifications

Competitive Advantages

  • Industry-leading top share in disconnectors and quick chargers
  • Stable orders backed by over 35% capital relationship with TEPCO Power Grid
  • Broad response to market needs with diverse transformers and distribution devices
  • Next-generation infrastructure supported by smart meter production facilities
  • Powerful network of sales offices and factories domestically and internationally
  • Expansion into industrial sectors with optical inspection equipment and embedded software
  • Solid management and financial position with consolidated sales of approx. 97.7 billion yen
  • Diversified revenue base through expansion of BtoB businesses across multiple fields
  • Focus on restoring corporate trust through swift response to quality scandals
  • Advancement in product development emphasizing electrical safety and environmental considerations
  • Long-term investments in digital grids and EV charging infrastructure
  • Competitive superiority through accumulated R&D capabilities and domestic/international patents
  • Coexistence with major heavy electrical manufacturers while maintaining niche leadership domestically
  • Business scale expansion through collaboration with diverse group companies
  • Advanced energy-saving and EMS-related products

Threats

  • Risk of reduced orders due to shrinking domestic power industry market
  • Potential credit decline from quality scandals
  • Market pressure from overseas products and low-price manufacturers
  • Delays in responding to rapid technological innovations
  • Intensifying competition in EV charging infrastructure
  • Market uncertainty from policy and regulatory changes
  • Cost pressures from rising raw material prices
  • Expansion risks in emerging markets
  • Order instability due to external environmental changes
  • Business transformation pressures from power liberalization and decarbonization progress
  • Risks in overseas expansion due to exchange rate fluctuations
  • Intensifying competition for talent acquisition

Innovations

2023: Development of new EV quick charger model

Overview
Developed a high-output quick charger to strengthen competitiveness in the domestic market.
Impact
Achieves shorter charging times and improved usability.

2023: Expansion of digital grid supervisory control system

Overview
Advancing sophisticated power system monitoring through IoT and AI integration.
Impact
Contributes to operational cost reductions through efficient power management.

2022: Expansion of smart meter production system

Overview
Introduced equipment to improve production efficiency, enabling response to increased demand.
Impact
Achieved shorter delivery times and stable quality.

2021: Implementation of quality management enhancement program

Overview
Comprehensive revision of inspection systems and training in response to improper inspection issues.
Impact
Aims to improve product reliability and customer satisfaction.

2021: Higher precision in 3D optical application inspection devices

Overview
Launched new HVI device resistant to temperature changes.
Impact
Contributes to productivity improvements in semiconductor and substrate inspections.

2020: Development of new gas-insulated switchgear

Overview
Developed low-environmental-impact GIS to refresh existing products.
Impact
Realizes energy savings and reduced maintenance costs.

Sustainability

  • Development of low-environmental-impact gas-insulated switchgear
  • Introduction of solar power generation at production factories
  • Product recycling promotion program
  • Strengthened environmental management through ISO 14001 certification
  • In-house energy-saving activities and CO2 emission reduction measures
  • Thorough occupational safety and health
  • Participation in local environmental conservation activities
  • Development of smart grid-compatible products
  • Promotion of waste reduction and resource recycling
  • Enhanced environmental considerations in supply chain
  • Contributions to decarbonized society through EV charging equipment
  • Employee environmental awareness training